Ireland

John Purcell, a former executive director of Irish Nationwide Building Society, has launched a High Court challenge to the constitutionality of the Central Bank’s inquiry into alleged regulatory breaches at the financial institution, the Irish Times reported. Mr Purcell, along with several others, is the subject of an inquiry into allegations that certain proscribed contraventions were committed by INBS, and certain persons concerned with its management, between August 2004 and September 2008. Irish Nationwide was nationalised in 2010 after receiving a €5.4 billion bailout.

State authorities have expressed concern at evidence of bogus self-employment and contracting work which may be depriving the Government of tax revenue and workers of sick pay and other protections, the Irish Times reported. Joint investigations involving the Revenue Commissioners and the Department of Social Protection uncovered almost 200 cases in the construction industry alone over the past year. But authorities have also found evidence of a blurring of the lines between employees and the self-employed in a range of other sectors such as IT, media and consultancy.

The High Court grounded an aircraft, allegedly belonging to a state airline of the Democratic Republic of Congo, from leaving Dublin Airport in a dispute over a debt of €10 million, the Irish Times reported. The interim injunction prevents both the Democratic Republic of the Congo (DRC) and La Société Congo Airlines from moving, operating or otherwise interfering with the aircraft – an Airbus A320 undergoing works in Dublin – without their consent. The injunction also prohibits the aircraft’s removal from the jurisdiction.

Some 110,000 credit card customers of AIB may be in line for a pay-out of up to €128 following the launch of a redress scheme by the Central Bank, the Irish Times reported. Customers who purchased card protection insurance from Pinnacle Insurance plc (Cardif Pinnacle) through AIB, betweenAugust 1st 2006 and 2014, typically at an annual premium cost of €16, may now be entitled to a refund. Someone who took out a policy in 2006 and held it until 2014 may be entitled to a refund of as much as €128 but the bank said the average claim will be €66.

Former Anglo Irish Bank chairman Seán FitzPatrick has launched a High Court action aimed at permanently preventing his trial before Dublin Circuit Criminal Court from going ahead, the Irish Times reported. Mr FitzPatrick is facing a number of charges including making a misleading, false or deceptive statement to auditors and of furnishing false information from 2002 to 2007. The trial has been scheduled to begin on October 5th, however he claims he cannot get a fair trial due to the large volume of adverse publicity published and broadcast about him.

The jobs recovery stalled in July, as the the rate of unemployment remained unchanged at 9.7 per cent, while youth unemployment rose slightly during the month, up to 20.2 per cent, the Irish Times reported. According to figures from the Central Statistics Office released on Wednesday, the unemployment rate was unchanged in July, with some 208,900 people without a job, up by 300 on June, but down by 32,400 on July 2014. At 9.7 per cent, this is the lowest rate since January 2009 but is the third consecutive month of no change in the unemployment rate.

State-owned train operator Irish Rail (Iarnród Éireann) is likely to face bankruptcy if it loses the right to run services as a result of proposed changes to the way the EU rail sector is run, the Government has warned, the Irish Times reported. Iarnród Éireann’s contract for operating train services is due to expire in 2019 and the EU Commission has been pressing for changes which would see the sector opened up to tenders from competitors.

Hundreds of thousands of mortgage holders are set to lose a key tax relief on their monthly repayments, the Irish Times reported. According to figures provided by Minister for Finance Michael Noonan, some 325,000 mortgage holders will lose the relief, which is €850 per annum on average, when it is phased out by the end of 2017. The relief on mortgage interest expired in 2009 for people who started paying their mortgage in 2003 or earlier, while those who took out a mortage between January 2004 and the end of december 2012 the entitlement for relief ends on December 31st, 2017.

Bookmaker Ladbrokes is to retain 144 shops nationwide and continue to employ over 700 people in Ireland following the High Court’s approval of its rescue plan on Tuesday, the Irish Times reported. The UK bookmaker, which entered the examinership process in April in order to restructure the business, will now close 52 of its 196 outlets while about 90 people will leave the business as a result of a voluntary redundancy scheme.

Priory Hall developer Thomas McFeely will contest an application to extend his bankruptcy by five years, the Irish Times reported. The application has been brought on grounds including his alleged failure to disclose all his assets, the High Court has heard. Mr McFeely (67) was adjudicated bankrupt in Ireland in July 2012 and his bankruptcy is due to expire on Thursday, July 30th this year.